Tax Fears

November 19, 1985

TORONTO — A new mining tax proposed in Ontario is being met with protest. The tax would stall planned expansion projects, says Donald Lowe, president of Kidd Creek Mines Ltd. ''Clearly tax increases of this magnitude would cripple a healthy industry, let alone one that is struggling to survive with metals prices that are at a 40-year low in real terms,'' he said. Under the proposal, the current 15 percent to 30 percent graduated mining tax would be replaced with a flat 20 percent tax. Tax exemptions also would be decreased.